Rally on: Experts say rate hike over 25 bps may puncture it

Moneycontrol Bureau 

It is the second straight day of gains, with positive global cues helping the market to gain ground on good volumes. The Nifty rallied ahead of the credit policy to close at 5075, up 63 points. The Sensex too showed off gains to close at 16876, up 166 points. As market waits for the credit policy review tomorrow, most experts believe that it will hold key to the momentum. The market has already factored in a rate hike of 25 basis points but if rate remains unchanged then definitely market will be boosted. However, going by August inflation which touched 13-month high, some experts feel that the central may even hike rate by 50 bps, which is not